December 12, 2017 11:42 am Last modified: 9:02 am

New Liquor, Cigarette Taxes Go Into Effect May 1

Unpopular new taxes on tobacco, sodas and liquor aimed at helping reduce the V.I. government’s structural budget deficit go into effect May 1. Mapp called the new excise tax rates “sin taxes” when his administration proposed them in December of 2016. After some changes, the Senate approved them March 1 and Mapp signed them into law later in March.

On Friday, the V.I. Internal Revenue Bureau issued notice of the new tax schedule, which applies directly to businesses which import these products. Customers will ultimately pay the tax as distributors pass the cost to retailers who pass it on to customers.

The new excise tax rates are:

1. Foreign Beers – $6.08 per case of 24-12 ounce containers or equivalent 2. US Beers – $5.00 per case of 24-12 ounce containers or equivalent 3. Foreign kegs – $8.25 per keg 4. US kegs – $5.70 per keg 5. Cigarettes – $11.00 per carton 6. Carbonated Drinks – $1.44 per case of 24-12 ounce containers or equivalent 7. Rums, Liquors, vodka and other alcoholic beverages – $6.00 per case

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Taxpayers with questions about the excise taxes should contact Glenford Hodge at (340) 715-1040,
ext. 3201.

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  1. cindy scheve Reply

    11.00 per carton of cigs is outrageous 40% increase really? because Mapp isn’t financially responsible we all have to pay this increase?

  2. Tony T Reply

    That’s one way of looking at it, or you can say 10 packs per carton / $11.00 = $1.10 tax per pack or $1.10 per pack / 20 cigarettes = 6 ¢ (5.5) tax per cigarette

  3. Tony T Reply

    Oh yea, I fully support it and it will still be cheaper than the mainland.

  4. Brian B Reply

    Why do these articles never mention the several other items taxed under this bill, like boats, bicycles, and other transportation equipment? We rely on the media to keep us informed. You are NOT keeping us informed one what is truly in this bill!

  5. Kevin Reply

    Talk about a sin tax. That tax is a sin. $11.00 for a carton of cigarettes. . Wow. The real sin here is Mapp living the high life on our dollars without paying his taxes. He need to move out the Ritz-Carlton and like a more simple life.

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